Rubrik, a cybersecurity software business, intends to raise $713 million in its initial public offering (IPO). Microsoft is one of the company's major investors, as per reports by Bloomberg.
Rubrik is seeking to sell 23 million shares at a price per share of $28 to $31. The company would be valued at about $5.4 billion at the top end of the spectrum, but the insider cautioned that the plans were susceptible to change based on market conditions. Sources revealed that Palo Alto, California-based Rubrik intends to sell 23 million shares at a price per share of between $28 and $31.
Source claims Rubrik would be valued at about $5.4 billion
According to reports, Rubrik's valuation would be roughly $5.4 billion at the upper end of the spectrum and warned that the company's plans are susceptible to change based on market conditions. Following a downturn in 2022 and 2023, the US market for new stock offerings is beginning to show indications of recovery at the time of the proposed IPO. Astera Labs and Reddit are two recent examples of tech companies that have gone public, setting the stage for other companies to do the same.
Following the successful stock market flotations of social media platform Reddit and semiconductor connectivity company Astera Labs, many firms, including Cato Networks and Synechron, have begun their preparations to go public. Rubrik is a cloud-based ransomware protection and data backup software provider that was created in 2014. More than 5,000 businesses are served by it, including retailer Home Depot and computing behemoth Nvidia.
Rubrik's IPO filing states that at the end of January, its yearly recurring revenue from subscriptions increased by 47% over the previous year. In addition, the business said that it lost $354 million on $628 million in revenue for the 12 months that ended on January 31, as opposed to $278 million on $600 million in revenue the previous year.
Rubrik's preparations to go public coincide with the fact that it is investigating a former employee, who was employed by Rubrik's sales division, for US fraud. An investigation into whether the former employee misappropriated monies received by the US government for 110 contracts with Rubrik into an operational organization he had created was initiated in October 2023, according to a February article from Reuters.
Goldman Sachs, Barclays, Citigroup, and Wells Fargo will spearhead Rubrik's initial public offering (IPO). The firm intends to use the ticker RBRK to list its shares on the New York Stock Exchange.
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